The proposal for a qualified institutional placement (QIP) to raise up to ₹ 12,300 crore was accepted by the board of Adani Green Energy Ltd (AGEL) on Thursday.
This will bring the total raised by the three Adani group companies—Adani Enterprises, Adani Transmission, and AGEL—through the issuance of shares to institutions to ₹ 33,300 crore.
Investors in Europe and West Asia have shown a substantial interest, according to sources with knowledge of the situation.
Following the announcement, AGEL’s shares increased 1.41 percent or ₹ 13.35 to close at ₹ 961.30 on the BSE. Just a few days prior, GQG Partners invested $1 billion (₹ 8,265 crore) in new investments in flagship companies AGEL and Adani Enterprises Ltd. The fund increased its investment in Adani Transmission as well. According to sources close to the organisation, AGEL will utilise the money it raises for growth and expansion.
The largest and most rapidly expanding provider of renewable energy in India is now Adani Green. Over the last five years, its green capacity have increased at a CAGR of 33%, exceeding the industry average of 15%. According to the business’s finance head Phuntsok Wangyalhad, the company intends to increase its green energy capacity by around three gigawatts this fiscal year, spending about ₹ 14000 million.The renewables industry in India has been one of the most profitable for foreign investors, ranking in the top five industries in the nation for foreign capital in 2016.
Since Hindenburg Research’s study alleged that the Adani Group had used illegal offshore tax havens and engaged in stock manipulation, the market value of the group’s seven listed companies has decreased by more than $100 billion. Adani has refuted the charges.
